The CSP-CFP relation: a means, not an end

This paper tries to empirically support, in a cross-country and cross-industry analysis, the instrumental role of stakeholder management by adopting a disaggregated approach to the CSP measurement. It aims at contributing to the debate on CSP-CFP link by verifying preliminarily and tentatively some empirical implications deriving from Marom’s (2006) unified theory. The main findings are: i) the firm is not socially responsible towards all stakeholders but invests more in key-stakeholders, those who are (perceived as) more influential in its business and then who have a more valuable impact on its financial performance; ii) null or weak significance of the CSP-CFP relationship in a whole sample could hide strongly significant opposite relationships in two separate sub-samples: the sign of the CSP-CFP link cannot be expected to be univocal because the marginal reward-cost equilibrium of social investment is firm-specific. Methodological suggestions for future research could be derived.